Investigation of Corporate Frauds

There is already a separate agency, the Serious Fraud Investigation Office (SFIO) to investigate corporate frauds.  It was set up through a Resolution dated 02.07.2003 to investigate corporate frauds of serious and complex nature.

The number of Companies investigated by SFIO during the last three years and current year:

Prosecutions are in progress in the appropriate Courts of Low.

            Government has taken a number of measures to curb and prevent corporate frauds, including; ‘Fraud’ as a substantive offence has been introduced in the Companies Act, 2013, Statutory status to the Serious Fraud Investigation Office has been granted under the said Act, Stricter norms of Corporate Governance and their implementation under the Companies Act, 2013, Increasing application of technology for early detection of frauds through data analysis, surveillance and usage of forensic tools, etc.

            This was stated by Shri Arun Jaitley, Minister of Corporate Affair in written reply to a question in the Rajya Sabha today.